Robinhood unveils $1.5B buyback as stock hits 2026 lows ahead of Ethereum network launch
Robinhood has announced a new $1.5 billion share repurchase programme, expanding its existing buyback plan by $1.1 billion. The move comes as the company prepares to launch its Ethereum layer-2 network, Robinhood Chain, later this year.
Meanwhile, the stock has faced volatility, dropping to its lowest close of 2026 this week. The board approved the three-year repurchase programme in early 2026, adding fresh capacity to its ongoing buyback efforts. This follows a broader financial push, including an expanded $3.25 billion revolving credit facility with JPMorgan.
Robinhood's blockchain ambitions also advanced in February when its Ethereum layer-2 network, Robinhood Chain, went live on public testnet. The mainnet launch is scheduled for later in 2026, marking a key step in its crypto strategy.
Despite these developments, HOOD stock has struggled in recent months. Shares fell 4.7% on Tuesday, closing at $69.08—the lowest point of the year. The decline extends a broader downturn, with the stock down nearly 39% year-to-date and 54.7% from its October peak. Still, over the past 12 months, it remains up around 43%.
Analysts maintain a 'strong buy' consensus on HOOD, with an average 12-month price target of $123.85. The $1.5 billion buyback programme will run until early 2029, while Robinhood Chain's mainnet debut is expected by the end of 2026. The company's stock performance reflects ongoing market fluctuations, though long-term analyst sentiment remains positive. The expanded credit facility and blockchain progress signal continued investment in growth areas.
